- Our residential sales were up 18.6% in August 2008 as compared to August 2007.
- New listings were down (which is good) - dropping below the 10,000 mark for the first time since March 2008
Not so good points:
- Our new home sales are down dramatically partially because of the wide selection of homes available through the MLS®
- Average prices (indicating our market trend) for all types of homes were down
- At the top of the market in June of 2007 The average price of a single family home was $426,028
- August 2008 tallies at $369,190 for the average price of a single family home and July 2008 -(one month Prior) was at $379,224 - a $10,000 drop in one month
The consensus is that we are leveling off - prices are stabilizing with less homes being available on the market + our economic conditions
If you have time read our Edmonton REALTORS® Association of Edmonton's Forecast below - the market in the BC Area should be impacted because of the Boomers and Seniors retirement plans:
"The sudden 2006-2007 boom in housing sales and price increases was a result of a strong economy and consumer confidence resulting in higher than average in-migration and locals improving their personal situation. Builders responded to meet the new demand with an active program of new home starts. When the market started to cool, builders could not downsize quickly enough to prevent an oversupply of new homes.
The rapidly increasing prices in early 2006 resulted in a land rush and the MLS® residential inventory dropped to a low of 1,800 homes. By 2007 the resale housing inventory started to rise to record levels as a result of move-up and new home buyers listing existing homes, landlords capitalizing older rental units by converting them to condos, some workers returning "home" as the economy picked up and boomers and seniors selling out to move to their retirement location.
REALTORS® are confident that the robust Edmonton market will continue. Sales will increase from demographic changes such as more single women buying houses and condos. In addition, more young people are living alone and boomers and seniors are buying second homes for recreation or to prepare for retirement.
Economic factors will also increase housing sales. The strong Alberta economy continues with low unemployment and high consumer confidence. Alberta will continue to attract migrants from other provinces because of the lack of a sales tax and the lower cost of living in Alberta combined with well-paying jobs and housing availability".
Signing off for now,